In Michigan, like many other states foreclosures have skyrocketed.
The foreclosure process in Michigan can be done either through the judicial or non-judicial process. Through the judicial process the foreclosure will be handled through court actions. Using the non-judicial way there will be no court order and the sale with be handled by the local sheriff or trustee (usually the title co).
Judicial foreclosure process:
Through this manner of foreclosure the lender will have to file a lawsuit requesting the borrower to officially be in default of the mortgage. At this time the court will issue a notice to the homeowner giving them a certain amount of time to pay their past dues, or else a notice of sale will be issued. The sale will then proceed on that date unless the homeowner makes an effort to resolve the situation. Judicial process will usually take about three to six months.
The lender usually chooses the non-judicial foreclosure in the state of Michigan. This is because there is a power of sale clause present in the borrower’s mortgage or deed of trust. Most banks always choose this route of foreclosure because it usually takes less time to complete and costs the lender much less.
Once the lender has proves that the borrower is in default the foreclosure process will begin. The first step will be the lender posting a notice of sale in the local newspaper where the home is located. The sale of notice is required to be published for four straight weeks, one time per week.
After fifteen days from the time the publishing began, a copy of this notice must be posted on the residence in a noticeable place. The property when then be sold on the date of sale to the highest bidder, at the auction sale. This way of sale can be completed in about three-six months as well.
So in Michichigan most borrowers facing foreclosure will go through the non-judicial process. Remember you may be able to postone or even stop a foreclosure if you try to resolve the issue.